PEOPLE’S MANIFESTO
Unemployment was the eighth most important issue the voters raised. They want their elected leaders to address it in next year’s general elections Tracy Gwambe writes
Clad in an over-sized Kitengi dress, and wearing worn out cornrows on her head, Justine Nalubega, 44, a single mother of four, narrates her frustrations of being unemployed. “It is 10 years since I lost my job. I have had a few short contracts here and there, but I cannot call that satisfactory employment.”
The struggling single mother was not being paid after working as a teacher for six months at a school in Kazo. “We had a free meal of posho and beans daily and we were promised salaries at the end of the month but I waited in vain,” she adds. “I quit.”
To survive, Nalubega opened a small restaurant in Kawempe, a Kampala suburb, but it was suffocated by the pressure of rent, school fees and daily needs. “When the business collapsed, I moved back to the family home for support,” she says.
Nalubega’s story mirrors the findings of an opinion poll conducted by Vision Group in June among Ugandans of voting age.
About 7,000 people were sampled out of the 15.4 million Ugandans eligible to vote. Unemployment was the eighth most important issue that the voters raised and which they want their elected leaders to address after next year’s general elections.
Specifically, the voters complained about the lack of jobs. Seventy-four percent of the respondents, or 11.4 million voters, cited the issue. They were also concerned about corruption, bribery and nepotism in the process of trying to find a job. In the few cases where jobs exist, the voters were concerned about the low or non-payment of salaries or wages.
The voters also want poor working conditions and delayed payment sorted.
UNEMPLOYMENT CONCERNS AND OVERVIEW
The Uganda Bureau of Statistics said in a report in 2013 that unemployment was highest among the youth. The population of Uganda is estimated to be just under 35 million, 80% of whom are the youth, or people aged between 18 and 30 years as defined by the Constitution.
Current estimates put the population of the youth of working age at 6.5 million, representing 21.3% of the total population. With an annual growth rate of 3.2% (1.3 million people), the youth population is expected to grow to 7.7 million this financial year.
The civil service was first reduced by half from 300,000 to 150,000 during the 1991 civil service reforms. By 2008, the numbers had climbed again to over 255,000 as a result of decentralisation.
ActionAid says 62% of Uganda’s youth are jobless. It says the situation is worse in the urban than rural areas. In a survey of 1,100 youth from 11 districts selected from the four regions of Uganda in 2013, ActionAid said: “Unemployed youth were likely to become a source of instability if the Government did not plan for them”.
“The majority of the youth out of school have no regular work or income. Some 61.6% of them were not in employment,” the report noted.
As if to confirm the predictions of ActionAid, a group of youth under their umbrella organisation called the Unemployed Youth brigade, has had run-ins with the Police. In one incident they smuggled piglets to Parliament in protest against what they said was the Government’s failure to create jobs for them. They painted the piglets yellow, the colour of the ruling NRM party.
The Uganda Bureau of Statistics report said rural youth were faring better than their urban counterparts because they have the option of subsistence farming. The report said Kampala, the central and the eastern regions had the highest unemployment rates of 15%, 6% and 8% respectively.
It said unemployment was higher for females than males. Experts say most youth subsist on the margins of the economy or have jobs that do not provide them with adequate means for survival. This situation is aggravated by the huge imbalance between the supply and the demand for labour, making the youth and job-seekers vulnerable to nepotism, low or non-payment and appalling conditions of work.
“A beggar has no choice,” says Lawrence Okimait, a graduate of computer science who has not been steadily employed since he completed university six years ago. O
kimait survives on odd jobs. “When you are desperate and your choices limited, you fall for far too less than your worth,” he said.
Okimait is hopeful the 2016 elections will bring the issue of unemployment to the top of the agenda of politicians as they look for votes. He said at 32, he should be settled with a family and a steady job. “But all I see is a void ahead of me with no hope in the horizon.”
NRM PROMISES
During the last election, the NRM came out strongly on the issue of unemployment. Its manifesto was titled, Better Service Delivery and Job Creation, which laid down strategies to bring hope to young people like Okimait.
The Government promised to attract more investors and enhance job creation. It said it would address the constraints faced by Medium, Small and Micro enterprises through training, access to financial services and to improve the business environment generally.
To end joblessness among the youth, the hardest-hit by unemployment, the Government pledged to empower them to be job creators and not job seekers. To this effect, it promised to establish the Youth Enterprise Capital Fund for start-up capital for the youth.
In relation to the funding, the Government promised a youth business skills training programme to impart entrepreneurship skills.
EFFORTS TO FIGHT UNEMPLOYMENT
Some of the suspected idlers netted in a Police operation in Kampala. Many youth who are unemployed are engaging in criminal activities
Despite these promises and the achievements scored by the Government in addressing unemployment since 2011, the voters are still complaining and want more and better solutions.
And rather than wait for miracles to happen, some have taken matters into their own hands and left the country for odd jobs. The commonest destination is the United Arab Emirates, Iraq and Kuwait where Ugandans work as security guards thanks to the Government’s policy of exporting labour.
In fact, exporting workers has become a profitable business. Milton Turyasima, the assistant commissioner at the ministry of Gender, Labour and Social Development, said as of October 1, at least 43 agencies had been licensed to export labour.
Dr. Sam Lyomoki, the Workers MP and Secretary General Central Organisation of Free Trade Unions of Uganda, admits that unemployment is a big problem but it will not be resolved through finger-pointing, or blaming the Government.
“All of us must fight the problem. The opposition is pointing fingers yet they have not made any form of progress in fighting unemployment. They should work towards the good of the country,” he said.
Prof. Augustus Nuwagaba, an expert in poverty alleviation, agrees with Lyomoki. He said employment opportunities in government service are too few to meet the huge demand. He says the private sector needs to fill the shortfall.
Unfortunately, according to Nuwagaba, the private sector has been growing slowly which has “inhibited its ability to absorb the huge number of graduates that leave university annually”.
He also blames the education system which he said is not skills-based. “Uganda’s problem is not lack of educated people; we have so many highly schooled people, but they are not skilled.”
He said there was a huge disconnect between what the private sector wants and graduates universities produce.
Matovu Musoke, the executive secretary of Skilling Uganda Reform Task force, says to bridge the skills gap, Ugandans must embrace vocational training. He said other countries across the globe had beaten high unemployment through practical training, rising to become economic powerhouses. He cited Germany, Japan and South Korea.
“Ugandans must embrace this if we are to become a mid-income country by 2040,” Matovu says.
Another issue about unemployment is the mindset of the youth who want only white collar jobs. Matia Odoi, a mechanic at a garage in Luzira, a Kampala suburb, is frustrated by this mindset. He tried to interest two nephews to join his business, in vain. Most youth today, he argues, want to work in air conditioned offices, yet opportunities abound in vocational areas.
“They do not want to touch dirty oil. I cannot understand their thinking. Can’t they see I am doing well?” Odoi believes this attitude among the youth can be changed and urged leaders to launch a massive campaign “for the benefit of our young people”.
Workers MP Sam Lyomoki echoes Odoi’s sentiments. “We want to introduce apprenticeship programmes in Uganda so that graduates spend the first two years after university attached to organisations to get skills.
Observers, however, fear the sheer numbers of unemployed people will overwhelm the available places given the size of the economy.
Indeed, the Uganda Bureau of Statistics says universities and tertiary institutions churn out over 410,000 graduates annually, yet the labour market absorbs just 120,000. To address this, there must be a radical shift in the way young people are trained right from the home to the classroom, says Luciano Mawanda, the head teacher of Nakasero Senior School in Kampala.
He says children are raised to expect a job on a silver platter after school and not to use the knowledge acquired to create and take advantage of opportunities. “Change this, and you are on the right track,” he said.
DELAYED PAYMENTS
Delayed payment also featured prominently in the poll.
Shakirah Nansikombi has bitter memories about this. She worked at a job for a year before throwing in the towel. “I was elated to get a job as an administrator,” she said.
“However, in my fourth month, my pay started coming in late. I would go for months without pay. I had no appointment letter. I had not signed a contract so I did not know where to run for help.” After pressing her bosses for her four months’ salary, Nansikombi was instead sent on forced leave and told she would be called to pick her money.
She is still waiting for the phone call five months since. Herman Katende, an HR practitioner, says Nansikombi’s case is dead because she cannot prove she was employed by the company.
He says, perhaps in her desperation, she took on a job without signing a contract and was being paid in cash. “We advise people who get placements to sign contracts and insist they are paid through the bank so there is proof of employment,” he said.
Katende says the documentation can be used to sue for wrongful dismissal or nonpayment.
A man taking a nap at the Constitutional Square in Kampala. Many idlers always loiter around the square during day
NEPOTISM AND CORRUPTION IN JOB SEARCH
Given the scarcity of jobs, desperate job seekers become vulnerable to exploitation and other abuses. No wonder the Vision poll cited nepotism, corruption and bribery among the evils that come along with scarcity of employment. Take the case of Rose Male, a mother of four, who has sat many interviews for jobs but was segregated.
“Many offices have jobs that can be taken up by the youth but then if you have no connections, then you miss out even if you have the qualification,” she said.
It appears nepotism is so entrenched in Uganda that one of the first laws that the NRM passed when it took over power in 1986 was the Anti- Sectarianism Act. The Act made it a criminal offence to discriminate people and deny them opportunities, including employment, on the basis of religion, tribe or political affiliation.
Despite the Act, the vice persists and appears to be gaining acceptance across the population, Lyomoki says. “I was once attacked by the people from my home village blaming me for not employing my tribemates,” he says.
“I do not have to look at the tribe when I am recruiting. Mindset and productivity are key.”
MINIMUM WAGE
Some experts argue that a minimum wage would mitigate low pay and protect workers. Pius Bigirimana, the permanent secretary Ministry of Labour, Gender and Social Development, on June 2, announced to an International Labour Organisation conference in Geneva, Switzerland that the country was preparing to set up a minimum wage for workers.
Dr. Sam Sejjaaka, the chairman of UDB and a former professor at Makerere University Business School, says a minimum wage is undesirable and counter-productive in the current state of the economy. “It is not practical. You cannot talk about a minimum wage in a situation where there is no full employment. It is putting the cart before the horse,” he said.
“First create jobs, skill the workers and raise awareness and they will agitate for increments. It is one thing to set in law and another to enforce. In fact having such a law which is counter to the state of the economy will create greater insecurity for the lower worker because businessmen will make them casual labourers rather than put them on staff and put them on a minimum wage.”
In 1984 the Government set the minimum wage at sh6,000. And in 1995 the minimum wage advisory council recommended sh75,000 a month.
INTERVENTIONS
Aware of the challenges of unemployment and associated evils, the Government has come up with some solutions.
In 2013, it earmarked sh265b to empower unemployed youth countrywide under the Youth Livelihoods Programme. President Yoweri Museveni launched the programme in 2014 and is being implemented jointly with the local governments.
The funds are advanced to the Youth Interest Groups (YIG) in form of a revolving fund in order to increase outreach and enhance sustainability of the Programme. Bigirimana said 71,866 youths have so far benefited.
Of these 45%, or 32,113 of the youth were female and 55%, or 39,753, were male. They received sh38b for 5,507 projects. “Many people thought the youth were not interested in agriculture but the projects show that the majority of projects are in agriculture. We also have university graduates getting the funds. Those who have received the funds have also started paying back,” Bigirimana said.
Makerere University graduands celebrating. Few graduates get jobs after school
Another intervention has been the upgrade and expansion of training institutions to equip students with skills to beat off poverty. This is being undertaken through the Skilling Uganda taskforce which was launched in 2012.
Arnold Twebaza, the management adviser, said: “We want to equip students with skills that can get them out of poverty, but that is only if they receive quality training from highly trained instructors.”
He also said students must also interact with the right and up-to-date technology and be trained by the best tutors to be relevant in the market. Although the voters want more, these efforts appear to be paying off. Uganda is among the 10 most improved economies globally and the top 5 in Africa in the latest World Bank ease of doing businesses rankings.
Uganda is ranked 122nd out of 189 economies. Uganda is ranked ahead of Tanzania and Burundi but behind Kenya and Rwanda.
This means that it is easier to invest and do business in Uganda than it was in 2011. Matovu says more successes will be registered when Skilling Uganda strategic plan which runs up to 2021 is implemented. Top in the strategy, he said, is the plan for the Government to work with private investors and private training providers so that the two sides agree what skills are needed in the economy.
“International experience shows that effective and relevant skills development systems are built on strong alliances with employers and the business sector,” he adds.
Notable examples include the construction and oil sector.
“It is for this reason that immediate priority has been put on developing and putting in place skills development programmes for the oil industry, construction, manufacturing, agriculture and tourism.
“Over 13,000 jobs are expected to be created directly and indirectly during the initial phase of oil extraction in the country. The construction of the standard gauge railway is also expected to create lots of job opportunities,” Matovu says.
THE WAY FORWARD
Prof. Nuwagaba says these interventions are good but corruption should be tackled and made a risky venture to indulge in. He says Uganda needs to change the education system from theoretical to skills development.
He said the Universal Secondary Education was misplaced because it doesn’t add value “It would have been Universal Technical Education so that it builds skills needed by the private sector. This would increase the employability rates in the country,” he explains.
He further notes the need for equal pay for work of equal value so as not to demotivate employees.
He hoped that the Salaries and Remuneration Commission which is to be introduced in the next financial year will help address the huge salary disparities that exist in Uganda’s employment environment. For the unemployed Okimait, the time for talking is over. “Act now; we have waited too long for the promises,” he told leaders.
WHAT OTHER POLITICAL PARTIES PROMISED
FDC
The Forum for Democratic Change manifesto had job creation high on the agenda. It promised to provide investment incentives in priority sectors that employ the Ugandan youth and those willing to offer apprenticeship to facilitate experience. They also promised to protect workers from unfair dismissal from work and bad working conditions by implementing labour laws. FDC also promised to introduce a living wage for all the workers so that they can meet their day-to-day needs.
UPC
The Uganda people’s Congress promised to invest in high jobyielding projects, particularly in the rehabilitation and reconstruction of roads, schools, railway, hospitals and public health programmes. They promised to create two million jobs within four years, by investing in high job-yielding projects, to rehabilitate existing technical colleges and vocational institutes, and build new ones to provide practical industry-oriented skills directly related to reconstruction projects and labour market needs.
COMMUNITY & EXPERT VIEWS
Allan Sempebwa, media officer URA: Many university students should receive guidance before they choose a course. There is a mismatch between the students’ abilities and the courses that they study. Many students go for courses which they think will lead to lucrative careers at the expense of pursuing courses they are passionate about and good at.
Vincent Mugaba, the head of public relations, Uganda Tourism Board: Unemployment is one of the biggest risks this country faces. We spend so much money sending our children to school but the labour policies are not fair to them. The Government should amend the labour policies to ensure that foreign companies do not simply ferry in expatriate workers at the expense of Ugandans. The Uganda National Roads Authority should employ uneducated youth to work on up-country feeder roads instead of using machines.
Jackie Kihuguru, UTL head of customer operations: Youth unemployment is a big issue because companies tend to look for experience when hiring workers. Companies prefer to employ people from other organisations because they do not have training budgets. We employ interns and graduate trainees at UTL, but only a handful of companies are doing the same in Uganda.
Cerinah Tugume, Vivo Energy corporate communications manager: Young people need to be taught how to create income from any lawful work they come across and not to look down on any job. Most young people wait for a good job to find them and are not willing to do whatever work they can get their hands on. They need to be taught not to focus on money but on building skills and experience.
Godfrey Ssali, a policy officer, Uganda Manufacturers Association: The Government holds the greatest power to change the situation. It could start by levying high taxes on sports betting to discourage it and to also provide funds to repair the damage that sports betting has done to the youth. The Government should carry out a human resource survey to determine manpower gaps in line with the Vision 2040 master plan and to make appropriate plans to fill those gaps. Also, all universities should open vocational arms to train the youth in practical skills like engineering and plumbing.
